NYSE$SHO
Sunstone Hotel Investors Inc · Q1 2023 earnings
Q1 2023 earnings · · Investor relations
Briefing
Sunstone's first quarter results exceeded expectations due to accelerated corporate and group demand, with group hotels performing particularly well.
Sunstone Hotel Investors reported a net income of $21.1 million for the first quarter of 2023, compared to $15.1 million in the same period of 2022. Comparable RevPAR increased by 32.0% to $218.82, and Adjusted EBITDAre increased by 121.0% to $60.0 million. The company also repurchased $21 million of its common stock and refinanced its 2023 debt maturity.
- Net income increased to $21.1 million, compared to $15.1 million in the first quarter of 2022.
- Comparable RevPAR increased by 32.0% to $218.82.
- Adjusted EBITDAre increased by 121.0% to $60.0 million.
- The company refinanced the mortgage secured by the Hilton San Diego Bayfront with a new $225 million unsecured term loan.
Headline financials
Revenue & EPS history
Sunstone · Revenue · Quarterly
$243M
Forward guidance
For the second quarter of 2023, Sunstone Hotel Investors expects a net income between $29 million and $35 million, a total portfolio RevPAR growth of +6.5% to +8.5% compared to the second quarter of 2022, and an Adjusted EBITDAre between $79 million and $84 million.
Tailwinds
- Net income is expected to be between $29 million and $35 million.
- Total portfolio RevPAR growth is projected to be between +6.5% and +8.5% compared to Q2 2022.
- Adjusted EBITDAre is anticipated to be between $79 million and $84 million.
- Adjusted FFO attributable to common stockholders is projected to be between $61 million and $66 million.
- Adjusted FFO attributable to common stockholders per diluted share is expected to be between $0.29 and $0.32.
Headwinds
- Full year total Adjusted EBITDAre displacement of approximately $13 million to $15 million in connection with planned capital investments.
- Full year corporate overhead expense (excluding deferred stock amortization) of approximately $22 million to $23 million.
- Full year interest expense of approximately $52 million to $54 million, including approximately $2 million in amortization of deferred financing costs and approximately $2 million of noncash interest on derivatives.
- Full year preferred stock dividends of approximately $15 million, which includes the Series G, H and I cumulative redeemable preferred stock.
- Guidance is based in part on full year assumptions, which may be subject to change.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q1 2023
-0.0%
Avg return
Earnings day
+0.6%
Avg return
5 days after
+1.0%
Avg return
30 days after
45%
29 / 65 earnings
Positive
+20.1%
Q3 2020
Best reaction
-10.0%
Q4 2021
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +3.2% | +8.0% | +18.3% | |
| Q4 2025 | -3.7% | +0.5% | -7.3% | |
| Q3 2025 | +1.8% | +2.5% | -3.8% | |
| Q1 2025 | -2.9% | +0.5% | +0.8% | |
| Q4 2024 | -5.8% | -8.2% | -13.9% | |
| Q3 2024 | -4.1% | -7.3% | +12.5% | |
| Q2 2024 | +0.0% | -1.6% | +2.4% | |
| Q1 2024 | +1.9% | +0.7% | +0.3% | |
| Q4 2023 | -0.1% | +0.6% | -1.5% | |
| Q3 2023 | -1.5% | +0.6% | +5.6% | |
| Q2 2023 | +0.0% | -0.6% | -6.0% | |
| Q1 2023 | +3.5% | +5.5% | +4.9% | |
| Q4 2022 | +7.0% | +7.4% | -11.6% | |
| Q3 2022 | -4.0% | +4.5% | -0.7% | |
| Q2 2022 | -0.5% | +0.5% | -2.4% | |
| Q1 2022 | -4.9% | -7.8% | +1.4% | |
| Q4 2021 | -10.0% | -7.6% | +0.9% | |
| Q3 2021 | +2.2% | -0.9% | -15.1% | |
| Q2 2021 | -1.2% | -0.2% | +2.7% | |
| Q1 2021 | -2.1% | -3.2% | -2.1% | |
| Q4 2020 | +6.3% | +8.8% | +15.5% | |
| Q3 2020 | +20.1% | +19.4% | +38.1% | |
| Q2 2020 | +4.1% | +10.7% | +14.7% | |
| Q1 2020 | -9.5% | -18.8% | +13.7% | |
| Q4 2019 | -1.8% | -1.9% | -46.8% | |
| Q3 2019 | +3.3% | +0.6% | -1.2% | |
| Q2 2019 | +0.7% | -0.9% | -0.5% | |
| Q1 2019 | -2.3% | -1.9% | -6.7% | |
| Q4 2018 | +2.7% | +3.1% | +3.2% | |
| Q3 2018 | +1.5% | +4.4% | +2.8% | |
| Q2 2018 | +0.7% | +1.2% | +3.3% | |
| Q1 2018 | +1.8% | +3.3% | +6.8% | |
| Q4 2017 | -0.4% | -1.6% | -5.9% | |
| Q3 2017 | -0.8% | +0.2% | +0.9% | |
| Q2 2017 | -1.1% | +0.7% | -2.9% | |
| Q1 2017 | +2.6% | +5.2% | +5.3% | |
| Q4 2016 | -0.9% | -2.8% | -2.8% | |
| Q3 2016 | -1.9% | -1.4% | +19.2% | |
| Q2 2016 | +2.1% | +0.5% | -2.4% | |
| Q1 2016 | -1.2% | — | — | |
| Q4 2015 | +1.4% | — | — | |
| Q3 2015 | +1.6% | — | — | |
| Q2 2015 | +1.8% | — | — | |
| Q1 2015 | -1.0% | — | — | |
| Q4 2014 | +0.8% | — | — | |
| Q3 2014 | -1.0% | — | — | |
| Q2 2014 | +1.8% | — | — | |
| Q1 2014 | +1.9% | — | — | |
| Q4 2013 | +2.1% | — | — | |
| Q3 2013 | +2.1% | — | — | |
| Q2 2013 | +1.0% | — | — | |
| Q1 2013 | +2.0% | — | — | |
| Q4 2012 | -2.0% | — | — | |
| Q3 2012 | -3.2% | — | — | |
| Q2 2012 | +1.6% | — | — | |
| Q1 2012 | +2.0% | — | — | |
| Q4 2009 | -1.8% | — | — | |
| Q4 2011 | -1.8% | — | — | |
| Q3 2011 | -2.9% | — | — | |
| Q3 2010 | -2.9% | — | — | |
| Q2 2011 | -3.1% | — | — | |
| Q2 2010 | -3.1% | — | — | |
| Q1 2011 | -1.5% | — | — | |
| Q1 2010 | -1.5% | — | — | |
| Q4 2010 | -1.5% | — | — |
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